Samvardhana Motherson International shares surged nearly 5% to hit a fresh 52-week high after the company reported exceptional fourth-quarter results for FY2026. According to reports from Business Standard, the stock opened higher at ₹136.02 on the National Stock Exchange (NSE) and climbed to an intraday high of ₹138.07, marking the new 52-week peak. The shares have demonstrated strong momentum, outperforming the broader market with a 10% gain over the past week compared to a 0.35% rise in the Nifty 50 index. For the January to March quarter of FY2026, the company reported a 46% year-on-year rise in consolidated net profit to ₹1,561.56 crore, driven by robust performance across businesses.
The company's consolidated total revenue from operations in the fourth quarter stood at ₹34,309.31 crore against ₹31,409.39 crore in the year-ago period, as reported by Business Standard. This represents significant growth in the company's top-line performance. The company had posted a consolidated net profit of ₹1,072.27 crore in the corresponding period of the previous fiscal, making the current quarter's performance particularly impressive with the 46% year-on-year increase. The strong financial results have positioned the company favorably in the auto components sector.
ICICI Securities has maintained a 'Buy' rating on Samvardhana Motherson shares after the Q4 results and raised the target price to ₹170 from ₹145, based on 22x FY28E EPS vs. 20x earlier on rising mix of non-auto segment. According to Business Standard, the target implies an upside of 29% from Wednesday's closing of ₹132.17. Analysts at ICICI Securities noted that Samvardhana Motherson's operating performance was ahead of estimate in the March quarter, with outlook for global LV/CV volume having improved led by new platform/model launches from global OEMs.
The company has planned a ₹6,000 crore capex for FY27, with 50% allocated for growth capex and the remaining towards non-auto segment, as reported by Business Standard. The company has planned four new greenfield plants (two each for Wiring Harness and logistics), taking its total greenfield plants to 16 at various stages of completion. Additionally, the board has approved raising ₹5,000 crore through non-convertible debentures on a private placement basis and recommended a final dividend of 25 paise per equity share.
